Investment firm Jefferies has initiated coverage on AFRY AB (AFRY: SS), a company listed on the Stockholm Stock Exchange, with a Buy rating and a price target of SEK270.00.
The firm is optimistic about the company's prospects, citing its ability to capitalize on the complexities arising from the global green transition.
AFRY AB, which holds a leading market position in the Nordic region and is ranked first in Sweden, is also recognized for its strong global presence in the energy and process industries.
The company's recent initiatives to improve its margin profile are expected to narrow the current valuation gap compared to its peers.
The company's diversified project portfolio and sector exposure are highlighted as key factors that provide stability through various economic cycles.
Jefferies forecasts a low-single-digit organic growth for AFRY AB in the year 2024 and anticipates a mid-single-digit organic growth rate for the years 2025 to 2026, which aligns with the company's ten-year historical average growth rate of 4%.
The firm's analysis suggests that AFRY's broad range of services and its strategic positioning in the market will contribute to its growth and enhance its financial performance in the coming years.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.